Versa Eyes Aeropostale Takeover by PitchBook
Versa Capital Management is negotiating the possible acquisition of bankrupt teen-apparel retailer Aeropostale in a deal that would keep open many of the chain’s locations, according to reports. Versa would purchase Aeropostale’s inventory and assume 500 of its store leases, most of which are located at shopping malls across the US. A loan dispute with Sycamore Partners helped push Aeropostale into bankruptcy earlier this year, with a trial adjudicating the matter scheduled for later this month.
Versa’s interest in Aeropostale can’t come as a huge surprise. After all, the firm has some experience in the distressed teen-retailer space: Last April, it acquired The Wet Seal, another bankrupt member of the genre, allowing the business to continue operating its 173 brick-and-mortar stores and online platform. Versa’s interest in Aeropostale seems to indicate a desire to repeat that on a larger scale.
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